BURSA ANNOUNCEMENTS

Reference is made to the announcements made by the Company on 13 July 2012, 17 July 2012 and 21 October 2013, the Company wishes to inform that it had on 15 April 2015 received from the China International Economic and Trade Arbitration Commission (“CIETAC”), Shanghai the following arbitral award dated 12 April 2015: 

1. Ningxia Eco shall pay the penalty amount of RMB4,374,541 (as opposed to Hua Sheng’s claim of RMB11,298,896); 

2. Ningxia Eco is required to bear Hua Sheng’s legal cost of RMB200,000 and property preservation fee of RMB5,000;

3. All other claims by Hua Sheng are dismissed;

4. All counter claims by Ningxia Eco are dismissed;

5. Ningxia Eco is required to pay 50% of the arbitration cost or RMB78,495 to Hua Sheng;

6. The payments involved in award items (1), (2) and (5) shall be paid within 30 days from the date of the arbitral award; and

7. The decision of CIETAC is final and shall take effect from the date of the arbitral award.

Arising from the arbitral award, the Group will make a provision of RMB4,658,036 (equivalent to RM2,792,958) which will reduce the profit of the Group accordingly by the same amount for the financial year ending 31 December 2015. There will be no material impact to the net assets per share of the Group.

For the purposes of this announcement, the exchange rate used is RM0.5996/RMB1.

Dated this 17^th day of April 2015.